CPC Provides Social Support to Stavropol Krai

On December 20, 2016, First Deputy Chairman of the Government of Stavropol Krai Ivan Kovalev, CPC General Director Nikolay Gorban and Deputy CPC General Director Mikhail Grishankov participated in the ceremony of donating 37 school buses to the Krai. It is envisaged to donate 54 school buses. The domestically made buses worth RUR 109 million were purchased by CPC at the request of the Krai’s Government. The buses are equipped with everything necessary for comfortable and safe transportation of schoolchildren.

In his speech at the ceremony, the Governor thanked the Consortium for its significant contribution in the social life of the region. CPC General Director said that the Consortium would continue to actively participate in the development of the social sphere of Stavropol Krai.

On the same day, CPC donated RUR 20 million-worth lot of the latest cardio equipment to the Stavropol Krai clinical hospital.  Experts agree that the diagnostic ultrasound equipment will help significantly improve the quality of medical services provided to the patients who suffered heart attacks and strokes.

To date CPC has donated over half a billion rubles to various charitable and social programs in the region. Plans are in place to sign a new 5-year Cooperation Agreement between the Government of Stavropol region and Caspian Pipeline Consortium-R in February 2017.  The Agreement will call for providing support in the field of education, health care, fitness and sport, environment, culture, and provision of target assistance to socially vulnerable social groups.

CPC pipeline system is one of the largest investment projects in the energy industry with participation of foreign capital on the CIS territory. The length of the pipeline connecting the oil fields in Western Kazakhstan with the Marine Terminal near Novorossiysk is 1,511 km. CPC Marine Terminal is equipped with single point moorings which allow for safe tanker lifting at a considerable distance from the shore, also when the weather conditions are unfavorable.

The Expansion Project includes rehabilitation of 5 existing and construction of 10 additional pump stations (2 in the Republic of Kazakhstan and 8 in the Russian Federation), six new storage tanks (100,000 cu.m each) in addition to the existing four near Novorossiysk and a third SPM at the CPC Marine Terminal, and also the replacement of an 88 km pipeline section in Kazakhstan with a larger diameter pipe. The total amount of the Project investments will be US$ 5.4 billion.

CPC Shareholders: Russian Federation (represented by Transneft – 24% and CPC Company – 7 %) – 31%; Republic of Kazakhstan (represented by KazMunayGaz – 19% and Kazakhstan Pipeline Ventures LLC – 1.75%) – 20.75%; Chevron Caspian Pipeline Consortium Company - 15%, LUKARCO B.V. – 12.5%, Mobil Caspian Pipeline Company – 7.5%, Rosneft-Shell Caspian Ventures Limited – 7.5%, BG Overseas Holding Limited - 2%, Eni International N.A. N.V. - 2% и Oryx Caspian Pipeline LLC – 1.75%.